Here is a little history about the origin of soft, stuffed toys or plush toys whatever you call them. The actual production of stuffed animals was started in the 1800's in Germany. Even before that, soft toys were made using mostly materials like socks and straws and children loved to play with them. The popularity of such soft toys made from socks like materials might have led to the production of the actual stuffed animal toys in the later 1800's in Germany. However, it was in 1903 that the first stuffed animal with synthetic fur was manufactured. The first teddy bear was also manufactured in the same year, after which the stuffed animal toys have gained high popularity as kids favourite toys.
Plush toy is the commonly used word for soft toys, in North America.
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